30 Stocks That Should Double in 3 Years

8. Tesla Inc. (NASDAQ:TSLA)

Number of Hedge Fund Holders: 126

Tesla Inc. (NASDAQ:TSLA) designs, develops, manufactures, leases, and sells electric vehicles, and energy generation & storage systems. Its Automotive segment offers EVs and related services and products. Whereas the Energy Generation & Storage segment engages in the design, manufacture, installation, sale, and leasing of solar energy generation & energy storage products and related services.

Musk recently stated that the company’s team is laser-focused on bringing robotaxis to Austin in June, with unsupervised autonomy initially being solved for the Model Y in Austin. He anticipates expanding this capability to many other US cities by the end of 2025. After Q1 2025 earnings, Wedbush maintained its Outperform rating on the stock while increasing the price objective from $315 to $350.

While acknowledging the difficulty in predicting the exact ramp-up speed, Musk is confident that millions of Tesla vehicles will be operating fully autonomously in H2 2026. He emphasized Tesla Inc.’s (NASDAQ:TSLA) advantage in using a generalized AI solution with cameras and its in-house designed AI chip, which he contrasts with the more expensive sensor-based approach of competitors like Waymo.

JDP Capital Management initiated a new core position in the company and stated the following regarding Tesla, Inc. (NASDAQ:TSLA) in its Q4 2024 investor letter:

“Tesla, Inc. (NASDAQ:TSLA) is new core position that I wrote about in 2024 Half Year Letter. The stock was up 115% in 2024. We benefited from the June 2024 timing of our purchase, buying after the stock had declined about 30% in the first part of the year.

We repurchased TSLA at a time when the market had [again] become overly bearish based on slowing vehicle orders despite the company having just achieved a breakthrough in Full Self Driving (FSD v12). If you haven’t had a chance to experience the most recent Full Self Driving software (FSD 13.3) I suggest you try it for yourself. If you’ve had a Tesla for a while, you know that the trajectory of FSD improvement has been nothing less than astounding.

It has become clearer to me that Tesla’s leadership position in the infrastructure layer underpinning mega-trends in robotics, smart vehicles and battery storage will unlock earnings growth that we can ride for years. Similar to AWS or the iPhone, Full-Self-Driving and Optimus will enable new business models to be built across a wide range of industries over time…” (Click here to read the full text)